Question: The net present value ( NPV ) helps a company decide whether it should pursue certain investment opportunities or not. Which one of the following
The net present value NPV helps a company decide whether it should pursue certain investment opportunities or not. Which one of the following would be the decision criteria for a large shopping mall if the NPV is found to be
Select one:
a
Accept the initial investment amount and an addition to the value of the business can be sustained by the cash flow of the project.
b
Accept the initial investment amount can be sustained by the cash flow of the project, although no addition to the value of the business is made.
c
Reject the initial investment amount cannot be redeemed by the cash flow of the project.
d
Reject the initial investment amount can be sustained by the cash flow of the project, but no addition to the value of the business is made
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